Question: When is goodwill recognized and reported as an intangible asset in a companys balance sheet? The market value of a firms stock exceeds the fair

When is goodwill recognized and reported as an intangible asset in a companys balance sheet?

The market value of a firms stock exceeds the fair value of its net identifiable assets.

The company acquires another business and pays an amount in excess of the fair value of the net identifiable assets of the acquired firm.

When the company reports both sales and net income growth exceeding 8% in 5 consecutive years.

Any of the above, at the discretion of the firms management.

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